WeedMD Inc. (OTC: WDDMF) announced on August 17th that the company has entered into a definitive joint venture agreement with Phivida Holdings Inc. to create and operate Cannabis Beverages Inc. (CanBev).

The product that CanBev will develop and eventually bring to market is a line of cannabidiol (CBD) infused beverages. WeedMD will exclusively provide the CBD extracts necessary for the production of all CanBev beverages. The operation of CanBev will take place at WeedMD’s 610,000 sq. ft. greenhouse facility that is based in Ontario.

Phivida’s role in the joint venture is to allow the use of the company’s trademarks, branding, and packaging through a sublicensing agreement. The company will also be at the forefront of innovating new products, packaging design, and branding for CanBev.